Heavy losses in Ayala Land's Class B shares pulled the market lower, with the stock falling 1.50 pesos to 27 pesos. The stock was the session's most heavily traded. Analysts attributed the fall to anxiety over the Ayala Land's third-quarter earnings report that is expected to be released this week.

While Ayala Land's results will almost certainly suffer from the base effect of a strong year-ago period, blue-chip property issues have come under pressure from fears that the high-end property market is heading for a downturn.

Some analysts predict a year-on-year fall of 18% in Ayala Land's third quarter income.

Dealers said a poorly received result could send the vulnerable stock market into a tailspin. Disappointing nine-month results from financial blue chip Philippine National Bank sent the market reeling late last week on fears that PNB's performance may be indicative of other major corporations.

PNB slipped 10 pesos to 312.50 pesos. According to dealers, the stock was still casting a shadow over the market.

Pilipino Telephone fell 1 peso to 23 pesos after the company conceded it would have posted higher nine-month profit were it not for technical problems. Piltel Monday reported a 27% rise in nine-month net income.

San Miguel and some other consumer stocks also ended weaker, but the sector was expected to climb on Christmas demand and softer raw material costs. San Miguel's Class B shares dipped 2 pesos to 92 pesos.

The session's biggest gainer was Mabuhay Holding, which rose 0.28 centavo, or 23%, to 1.50 pesos. Dealers were unable to pinpoint the reason for Mabuhay's gains.

The commercial and industrial index fell 143.22, or 3.49%, to 3960.62 and the property index fell 6.5, or 4.47%, to 138.78. The mining index bucked the market trend and advanced 61.64, or 1.99%, to 3165.42, but the oil index dropped 0.10, or 1.51%, to 6.52.